Cryptocurrencies are bringing real-world issues alongside their roaring success. One of those issues is the environmental toll from crypto energy consumption. New plays are popping up that seek to solve the issue, like Chia (CCC:XCH-USD). And with a big new announcement for the eco-friendly digital play, Chia (XCH) price predictions are a hot topic.
A report by CNN says that Bitcoin (CCC:BTC-USD) alone consumes 110 terawatt hours of electricity per year. For reference, that is about equal to the energy consumption of the country of Sweden for a year.
Enter Chia. Chia seeks to solve this conundrum by reducing the energy consumption of transaction verification. Rather than Bitcoin’s proof of work model, Chia uses a “proof of space and time” model. This model is much more energy efficient in that it utilizes the unused space on users’ hard drives. Mining is so simple and energy efficient, founder Bram Cohen says it can be done in a regular apartment. It’s as simple as downloading the software and allocating hard drive space.
Chia (XCH) Price Predictions Heat Up From Amazon Offering
Chia has blown up in the last few days thanks to an announcement by Amazon (NASDAQ:AMZN). The e-commerce giant is offering Chia mining in the Amazon Web Service’s cloud. The company is even providing a tutorial on how to start mining the crypto, setting up novices with their own wallets and helping them begin accruing coins. The announcement piggy-backs on iMD’s (OTCMKTS:ICBU) pivot toward Chia mining late in April. The iMD announcement, and now the Amazon cloud service, are signifiers of crypto’s coming shift toward eco-friendliness.
Chia is fresh, launching at the beginning of May, and it’s already seeing ups and downs. The Amazon news is catalyzing big gains that investors are hoping lead to a steady increase in Chia price. DigitalCoinPrice is the earliest predictor of Chia prices, suggesting that XCH could gain over 600 points this year, ending 2021 at $1,775.73. Market Realist supplements the prediction directly, calling XCH an optimistic investment for 2021.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article.